The firm said that top earners could pay around £8,900 less income tax in the first year alone if taxed as English residents, based on a salary of £250,000.
The firm said Scotland's six-band income tax system places a higher tax burden on many professionals, business owners and senior executives.
Penfold warned that bonuses are taxed in the same way as salary, meaning a significant portion can be lost before it reaches employees’ bank accounts.
Reports that the Chancellor will drop plans for an income tax rise have raised fresh questions about where the Government will find fiscal headroom in the upcoming Autumn Budget.
The full annual new state pension reached £11,973 in 2025/26, which pushed hundreds of thousands more pensioners into paying income tax.
The analysis also highlighted that 8.2 million individuals over 60 will be affected.
The financial services firm warned that fiscal drag could result in the average earner paying £416 more in tax by 2030.
According to the LITRG, "If an employee gets cash tips directly from a customer without the employer being involved, the tips belong to the employee."
Quilter commented on the rumours that Rachel Reeves may extend the income tax threshold freeze to 2030, and its impact on pensioners.